The Chinese internet giant, Tencent, is about to open a virtual blockchain bank after the Hong Kong Futures Commission (SFC) approved a new license.
Speaking at the blockchain world summit in Wuzhen, China, Tencent blockchain chief Yige Cai said Friday that the company's virtual bank received the green light from the SFC. In the future, the company will form a team to support the blockchain-based banking platform, according to the Chinese media site Sina Finance.
"Hong Kong's new regulation and oversight of digital asset transactions confirms the importance of blockchain technology and digital assets, which is good news for the entire industry, "Cai said in his speech at the summit .
The SFC has up to now granted virtual banking licenses to 12 entities. The list includes Infinium Limited, a Tencent joint venture, the Industrial and Commercial Bank of China (ICBC), and two other Hong Kong-based institutional investors.
Tencent renamed Infinium to Fusion Bank in July after receiving the license in May.
Cai did not reveal more details about the virtual bank, while highlighting Tencent's existing blockchain projects, including providing supply chain finance for the McDonald's fast food chain restaurant, according to the report. report.
According to another report, Cai currently leads the consortium, consisting of three blockchain development groups in Tencent. The other two are respectively responsible for the blockchain infrastructure and its blockchain-based cloud services.
Other companies include Ant Financial, a fintech subsidiary of Alibaba, and SC Digital Solutions Limited, which is 65% owned by Standard & Chartered Bank.
SFC released detailed information on its new licensing system to regulate virtual asset transactions on Wednesday, creating a framework similar to the one that oversees securities brokers.
Tencent image via testing / Shutterstock